401(k) Plan

The Deferred Salary Plan, also called the 401(k) Plan, provides two ways to help you accumulate retirement income.

  • You can make before-tax contributions. Most collective bargaining agreements require a mandatory 1% contribution.
  • You may also make tax 'Roth' contributions as determined by your collective bargaining agreement.
  • You may receive employer contributions as determined by your collective bargaining agreement.

If you make voluntary, before-tax contributions you can choose your own investments from among the Plan’s options. Employer contributions are automatically invested in the JIB Capital Preservation Fund and must remain in this fund unless your employer account balance exceeded $50,000 on January 1, 2017 in which case a portion of the amount over $50,000 became available to self direct.

Plan Overview

This information provides the highlights of the 401(k) Plan. Complete details are available in the Summary Plan Description.

You’re in right away. You are immediately eligible to participate in the Plan upon your date of hire if you work for a participating employer.

You can put your own money in the Plan. Your before-tax contributions are made easy with payroll deductions and are typically based on a percentage of your weekly pay. You may contribute up to the maximum amount allowed by the IRS.

If you will be age 50 or older during the calendar year, you can make additional, before-tax “catch-up” contributions above the maximum amount allowed by the IRS, subject to a separate annual limit. Contact Prudential Retirement Services at (877) JIB-401K to learn more about these annual limits.

After-Tax (Roth) Contributions: Contributions are also made with easy payroll deductions and the same maximums apply. You may combine before tax and after tax contributions up to the IRS maximums.

Your employer may add to your account. If your collective bargaining agreement requires employer contributions, you will receive one or both of the following:

  • Direct employer contributions
  • HRA excess contributions

Your money can grow. The way your account is invested depends on the type of contribution.

For before-tax contributions

  • Option A – a ready-mixed portfolio
  • Option B – mix your own portfolio

For employer contributions

There are no elections. Employer contributions are automatically invested in the Plan’s default fund—the JIB Capital Preservation Fund unless your employer account balance exceeded $50,000 on January 1, 2017 in which case a portion of the amount over $50,000 became available to self direct.

You can put money from a prior plan in this one. The Plan accepts rollovers of before-tax contributions from other qualified plans and traditional IRAs. Contact Prudential at (877) JIB-401K for rollover forms and instructions.

It’s always yours. You are always 100% vested in the value of your before-tax contributions, employer contributions and any rollover contributions to your account (subject to gains or losses).

You can change your mind. You may increase or decrease your contributions once a quarter. To do so, obtain a form from your employer and return the form to your employer 30 days in advance of the quarter you’d like the change to occur.

You can borrow money from your account if you need to. You can borrow against your entire account balance up to the lesser of 50% of your vested balance, or $50,000 less your highest outstanding loan balance from the previous 12 months.

Under certain circumstances and with the approval of the Joint Industry Board, you may make a withdrawal from employer contributions while in active employment. To request a form and for more information, contact the Joint Industry Board.

You collect when you’re ready. Your vested account balance, minus any outstanding loan balances, will be available to you or your beneficiary upon:

  • Retirement
  • Total disability
  • Death
  • Termination of employment
  • There is a separate five year Roth anniversary participation requirement to withdraw any Roth balance.

If the vested value is greater than $1,000, you may defer distribution until the April 1 following the year in which you reach age 70½ or until you retire, whichever is later.

Plan Information

Plan Name: Plan Name Deferred Salary Plan of the Electrical Industry

Plan Identification Number: 11-2656063

Plan Number: 004

Plan Year: January 1 through December 31

Type of Plan: This is a Defined Contribution Pension Plan. Your benefits are based upon the amount of money in your contribution account, which consists of the salary deferral contributions and employer contributions.

Plan Administrator: Joint Industry Board of the Electrical Industry

FAQs Icon
Frequently Asked Questions

When am I eligible for benefits under the 401(k) plan?

You may receive your own full account balance when one of the following occurs:

  • You retire;
  • You die (in which case, your named beneficiary will receive the distribution);
  • You become totally or permanently disabled;
  • You terminate employment from and withdraw from the Industry (may be subject to a 10% IRS penalty);
  • You reach age 59½ and apply for a distribution; or
  • You request a “hardship withdrawal,” which is approved by Prudential in accordance with the rules of the Plan for the amount needed. Please see pages 31-33 of the Summary Plan Description for more information about hardship withdrawals.

In addition to the events listed above, you may also receive a distribution from your Employer Contribution Account for any one of the following:

  • Supplementary Unemployment Benefits
  • Supplementary Workers’ Compensation Benefits
  • Supplementary Disability Benefits
  • Supplementary Economic Assistance Benefits (medical or dental expenses not covered by insurance and Long-Term Care, Medicare Part B and COBRA premiums)
  • Supplementary Financial Assistance Benefits (delinquent rent and mortgage)
  • Vacation and Supplementary Vacation Benefits
  • Holiday Benefits
  • College Tuition Reimbursement
  • Child Care Reimbursement
  • Non-College Private School Tuition
  • Jury Duty Benefits
  • Funeral Leave Benefit
  • Adoption Expenses
  • Wage Replacement/Election Day Benefit
  • Picket Duty Benefit
  • Inclement Weather Benefit
  • Medical Exam Day Benefit

The new benefits are available to participants based on classification and applicable Collective Bargaining Agreement.

The benefits described above will be subject to a 10% IRS penalty if under age 59½.

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